HCM City develops support industry

HCM City (VNA) – In March, the
Department of Industry and Trade of Ho Chi Minh City will chair a meeting with
the Ho Chi Minh City Export Processing and Industrial Zones
Authority and the Saigon Hi-tech Park to organise a festival to seek support
industry suppliers.

The event
will enable enterprises to seek more partners at home and abroad, improve
supply capacity, expand production and engage in the global supply chain.

According to the organising board, 16 businesses
operating in various fields such as electronics, automobile and mechanics want
to find domestic suppliers.

The event is seen as among an array of measures the southern economic hub of Ho
Chi Minh City is deploying to develop its support industry and improve product quality
to join production chains of foreign direct investment (FDI) businesses.

The municipal Department of Industry and Trade
proposed the city’s People’s Committee promulgate Decision No.15/2017/QD-UBND
dated March 16, 2017 to help businesses and complete a project on support industry
development through 2020.

The
department suggested implementing policies encouraging investment in support
industry to reduce imports and increase the ratio of locally processed and
assembled products.

It
recommended building communication programmes to promote outstanding industrial
products and create unique ones to call for investment, as well as encouraging firms
to renovate and increase productivity.

Director Pham
Thanh Kien said the department will help businesses access land and connect
them with foreign firms to establish a sustainable support industry network.

In 2018, the
department will strengthen coordination with business associations to support
firms operating in industrial and hi-tech parks, he added.

The HCM
City Centre of Supporting Industries Development will work to
boost links between local firms and FDI partners from Japan, the Republic of
Korea and the EU through the programme “Developing good
suppliers”.

In 2017, the
city promulgated Decision 15 on financial assistance for industrial
enterprises. Each would be able to get a loan of up to 200 billion VND (8.81
million USD) for a project. To date, three out of 11 projects have been
approved to receive the total assistance funds of 200 billion VND. -VNA